It definitely seems better out there than in here. Our Lee Jeehyun live from Cheonggyecheon Stream in central Seoul. Now, soaring temperatures have translated to more power usage, obviously with more turning up the AC. Once again, it’s brought the country’s cumulative billing system for electricity into the spotlight. Despite the government’s decision to provide a rate cut on household utility bills for the summer, some are already feeling the pain in their pockets. Here’s Oh Jung-hee.

The government provided some temporary relief this summer with a rate cut of 20-percent on electric bills between July and September. But despite that, Korean households now face a bombshell of a bill. Some will have to pay up to three times the usual charge though they used only double the amount of electricity. Korea’s electricity usage has hit an all-time high this year as households kept air conditioning on for longer to cope in this exceptionally hot, tropical summer.

Feeling the pain in their pocketbooks, households have criticized the country’s billing system in recent years. The country’s electric utility, Korea Electric Power Corporation, or KEPCO, divides billpayers into six groups by their usage, charging more to those who use more power. This leads to a twelve-fold difference in charges between those who use the most and the least electricity. The system does not apply to registered businesses.

Economics experts agree with consumers that the cumulative system needs a reform. At a policy discussion held in downtown Seoul on Tuesday, Kim Dae-wook, economics professor at Soongsil University, said Korean consumers pay too much and face higher progressive rates compared to other OECD countries, despite using less electricity on average. Yun Won-cheol, a professor of economics and finance at Hanyang University, on the other hand, argued that a reasonable reform would be allowing multiple electricity providers to compete, instead of maintaining KEPCO’s monopoly.